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  Trend trading works in Forex Trading

>> Friday, December 26, 2008

Trend pattern trading has emerged as one of the best forex trading styles the last 30 years. “Go with the trend” has become the trading motto of some of the most successful traders across the globe. The reason is simple-trends survive and we can trade up and down for profit!

Of course that’s easier said then done. It’s hard to forecast trends until they are actually recorded. This is where our strategy comes in to action. A sound strategy can let us make the most money of any market sentiments by confining the mass of a trend.
Trend pattern trading is in itself a good trading principle. The market is only profitable because it’s constantly changing. And only if our principles can adjust equally well with them. Adaptability is the watchword-which lets the trader consistently pull profits from within the market.Flexibility in the trading plan has already been highlighted in one of the previous posts.

That said there really is no secret to successful trading except hard work. I always like to say the “holy grail” is actually hard work. Massive trends can be pandemic. They tend to multiply easily. Extreme trends often feed upon themselves progressing rapidly and allowing opportunities for big profits on themselves.
Many traders here go wrong by being interested in understanding it. That right. People have hard time chewing this idea because of the “proportion”. What is more required is that we understand that sometimes small market event can lead to huge market changes. What we require with Trend pattern trading is that we locate and exploit trends before they appear or emerge.

Likewise with the trading systems. The best of systems cannot make up for lack of discipline. The system is only as good as the trader using it.

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